Does the 3% SDLT surcharge apply where the home outside the UK is being replaced?
3% Additional Rate, Only or Main Residence
“Can you confirm that if someone is selling a main residence anywhere in the world (in this case in Spain) and buying a new main residence in the UK they will be exempt from the penalty even though they will have another let property in the UK. I am trying to establish whether ‘main residence’ only relates to UK properties or a main residence throughout the world.”
Source: BLG Member
Yes, the only or main residence which is being replaced can be anywhere (paragraph 17(3)(a) Schedule 4ZA FA 2003).
At the time of publication this response was correct however as tax legislation and practice change from time-to-time you should take specific advice before taking any action.
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